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When Inflation is really Deflation

QUESTION: Why is the Fed doing so much Reverse Repo? Do you think it will hit $2 trillion? JE ANSWER: I understand that people seem to be talking up the reverse [...]

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What Happens When the Financial Capital of the World Moves?

QUESTION: Hi Marty, Knowing that the financial capital will likely move to China after 2032, since that would be the peak of the public wave, where will someone in [...]

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When is Printing Money Deflationary rather than Inflationary

QUESTION: It seems the Left Wing Progressives in the US House (opponents of Pelosi) have adopted the Money Market Theory of Prof. Stephanie Kelton of U of [...]

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Welcome to Deflation

People are just starting to grasp why deflation is also present in the USA. Despite all the screaming about Quantitative Easing, most remain confused why [...]

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Can Rates Rise with Deflation?

QUESTION: Hi Marty, How does the model’s call for deflation (earlier blog posts) fit in with the likely major cycle low in interest rates (per your recent [...]

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Nonperforming Loans in European Banks 10x that of U.S. Banks

American banks would rather return to the USA than strengthen their activities in the Eurozone. The U.S. banks, overall, now expect the EU to simply disintegrate. [...]

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Inflation – Deflation – Interest Rates

QUESTION: Is there a correlation between the GDP rate and interest rate ? Best regards, BL ANSWER: No. What central bankers fail to take into consideration is that [...]

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The Age of Deflation & the Fed

It appears that many people are married to the idea that the Fed creates INFLATION by expanding the money supply. Sorry, it does not work that way. Others confuse [...]

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Oil & BIG BANG – the Government Funding Crisis on a Global Scale

Saudi Arabia pumped a record 10.564 million barrels per day in June, showing that as prices decline, a record level of production is unfolding. Governments in the [...]

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The Misconception of Deflation vs. Inflation

Some people have a very hard time understanding that we are in a massive deflationary spiral; they think that rising prices simply means it is inflation and not [...]

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